Singapore is a bustling hub for business and commerce in Southeast Asia, and as such, it has a thriving logistics and warehousing industry. With the rise of e-commerce and the increasing demand for fast and efficient delivery of goods, the need for warehouse space in Singapore has never been higher. As a result, Singapore warehouse rental prices have been steadily increasing in recent years, making it a competitive market for businesses looking to secure a space.
There are various types of warehouses available for rent in Singapore, ranging from small storage spaces to large multi-level facilities. These warehouses are typically located in industrial areas such as Jurong, Tuas, and Changi, which are easily accessible by major highways and public transportation. The rental rates for warehouses vary depending on factors such as location, size, and amenities provided.
For businesses looking to rent a warehouse in Singapore, it is important to consider their specific needs and requirements. Some may require a warehouse with temperature-controlled storage for perishable goods, while others may need a space with loading docks and high ceilings for large equipment. With the help of a reputable real estate agent or online marketplace, businesses can find the perfect warehouse space to suit their needs and budget.
Overview of the Singapore Warehouse Rental Market
The Singapore warehouse rental market is one of the most dynamic and competitive in the world. As a major hub for logistics and trade in Southeast Asia, the city-state is home to a wide range of warehouses, business parks, and industrial properties that cater to the needs of both local and international businesses. In this section, we will provide an overview of the main types of warehouse rental options available in Singapore, including industrial warehouse rental, B1 and B2 industrial rental, and office and retail warehouse rental.
Industrial Warehouse Rental
Industrial warehouse rental in Singapore is primarily focused on meeting the needs of logistics and manufacturing companies. These warehouses are typically located in industrial estates and offer a range of features including large floor plates, high ceiling height, loading bays, and open yards. The rental rates for industrial warehouses in Singapore vary depending on location, size, and the specific features of the property.
B1 and B2 Industrial Rental
B1 and B2 industrial rental properties in Singapore are classified based on the type of activities that can be carried out on the premises. B1 industrial properties are suitable for light industrial activities such as assembly and manufacturing, while B2 industrial properties are suitable for heavier industrial activities such as metalworking and chemical production. These properties typically have lower ceiling heights and smaller floor plates than industrial warehouses, but they are still popular with businesses that require industrial space at a lower cost.
Office and Retail Warehouse Rental
Office and retail warehouse rental properties in Singapore cater to businesses that require a combination of office and warehouse space. These properties are typically located in business parks and offer a range of features including ground-floor retail space, mezzanine office space, and loading bays. The rental rates for office and retail warehouse properties in Singapore are generally higher than for industrial warehouses and B1/B2 industrial properties due to the added amenities and convenience.
Overall, the Singapore warehouse rental market offers a wide range of options for businesses of all sizes and industries. Whether you are looking for an industrial warehouse, B1/B2 industrial property, or office/retail warehouse, there are plenty of options available to meet your needs. The rental rates for these properties vary depending on location, size, and features, so it is important to do your research and work with a trusted real estate agent or broker to find the right property for your business.
Popular Locations for Warehouse Rental in Singapore
Jurong
Jurong is a popular location for warehouse rental in Singapore due to its strategic location and accessibility. It is situated in the western part of Singapore and is home to various industrial parks, such as Jurong Industrial Estate and International Business Park. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Pioneer
Pioneer is another popular location for warehouse rental in Singapore, especially for businesses that require heavy industrial facilities. It is located in the western part of Singapore and is home to numerous industrial parks, such as Pioneer Sector and Pioneer Crescent. These industrial parks offer a range of warehouse options, from factories to open yards.
Gul
Gul is a popular location for warehouse rental in Singapore due to its proximity to Jurong and Pioneer. It is situated in the western part of Singapore and is home to various industrial parks, such as Gul Circle and Gul Way. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Pandan
Pandan is a popular location for warehouse rental in Singapore due to its strategic location and accessibility. It is situated in the western part of Singapore and is home to various industrial parks, such as Pandan Loop and Pandan Crescent. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Changi
Changi is a popular location for warehouse rental in Singapore due to its proximity to the airport and seaport. It is situated in the eastern part of Singapore and is home to various industrial parks, such as Changi North and Changi South. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Ang Mo Kio
Ang Mo Kio is a popular location for warehouse rental in Singapore, especially for businesses that require clean and light industrial facilities. It is situated in the northern part of Singapore and is home to various industrial parks, such as Ang Mo Kio Industrial Park and Techplace 1. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Joo Seng
Joo Seng is a popular location for warehouse rental in Singapore due to its strategic location and accessibility. It is situated in the central part of Singapore and is home to various industrial parks, such as Joo Seng Road and Tai Seng Industrial Estate. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Kallang
Kallang is a popular location for warehouse rental in Singapore due to its proximity to the city center and accessibility. It is situated in the central part of Singapore and is home to various industrial parks, such as Kallang Basin Industrial Estate and Kallang Way. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Tai Seng
Tai Seng is a popular location for warehouse rental in Singapore, especially for businesses that require clean and light industrial facilities. It is situated in the central part of Singapore and is home to various industrial parks, such as Tai Seng Industrial Estate and BreadTalk IHQ. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Tampines
Tampines is a popular location for warehouse rental in Singapore due to its strategic location and accessibility. It is situated in the eastern part of Singapore and is home to various industrial parks, such as Tampines Industrial Park and Tampines Industrial Crescent. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Kaki Bukit
Kaki Bukit is a popular location for warehouse rental in Singapore, especially for businesses that require clean and light industrial facilities. It is situated in the eastern part of Singapore and is home to various industrial parks, such as Kaki Bukit Industrial Estate and Kaki Bukit Avenue 1. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Ubi
Ubi is a popular location for warehouse rental in Singapore, especially for businesses that require clean and light industrial facilities. It is situated in the eastern part of Singapore and is home to various industrial parks, such as Ubi Techpark and Paya Ubi Industrial Park. These industrial parks offer a range of warehouse options, from small storage spaces to large logistics facilities.
Redhill
Redhill is a popular location for warehouse rental in Singapore, especially for businesses that require clean and light industrial facilities. It is situated in
Types of Warehouse Rental in Singapore
There are different types of warehouse rental in Singapore, each catering to specific needs of businesses. Here are the four main types of warehouse rental in Singapore:
B1 Industrial
B1 industrial warehouses are suitable for light and clean industries such as printing, packaging, and assembly. These warehouses have a gross plot ratio of 1.4 and a maximum floor area of 2,000 square meters. They are equipped with basic facilities such as loading bays, cargo lifts, and passenger lifts. B1 industrial warehouses are located in areas such as Kallang, MacPherson, and Tai Seng.
B2 Industrial
B2 industrial warehouses are suitable for heavy industries such as manufacturing, engineering, and logistics. These warehouses have a gross plot ratio of 1.4 and a maximum floor area of 2,500 square meters. They are equipped with heavy-duty facilities such as overhead cranes, high power supply, and high floor loading. B2 industrial warehouses are located in areas such as Jurong, Tuas, and Woodlands.
Lab and Ancillary Office
Lab and ancillary office warehouses are suitable for businesses that require laboratory facilities and office space. These warehouses have a gross plot ratio of 2.5 and a maximum floor area of 15,000 square meters. They are equipped with specialized facilities such as fume hoods, clean rooms, and specialized ventilation systems. Lab and ancillary office warehouses are located in areas such as Biopolis, Tuas, and Changi.
Dangerous Goods Warehouse
Dangerous goods warehouses are suitable for businesses that deal with hazardous materials such as chemicals, flammable liquids, and explosives. These warehouses have a gross plot ratio of 1.0 and a maximum floor area of 2,500 square meters. They are equipped with specialized facilities such as fire suppression systems, chemical storage cabinets, and hazardous waste disposal systems. Dangerous goods warehouses are located in areas such as Jurong, Tuas, and Woodlands.
Factors to Consider When Renting a Warehouse in Singapore
Location and Accessibility
Location is one of the most important factors to consider when renting a warehouse in Singapore. The warehouse should be located in an area that is easily accessible by both vehicles and public transportation. This is especially important if the warehouse will be used for distribution purposes. It is also important to consider the proximity of the warehouse to major highways and ports.
Size and Layout
The size and layout of the warehouse are important factors to consider when renting. The tenant should have a clear understanding of their storage needs and choose a warehouse that can accommodate those needs. The layout of the warehouse should also be considered, as it can affect the efficiency of operations. Ground floor warehouses with open yards are ideal for businesses that require outdoor storage or loading and unloading of goods.
Ceiling Height and Loading Bays
The ceiling height of the warehouse is an important factor to consider, especially for businesses that require vertical storage. The tenant should choose a warehouse with a ceiling height that is suitable for their storage needs. Loading bays are also important, as they affect the efficiency of loading and unloading of goods. The tenant should choose a warehouse with sufficient loading bays that can accommodate their operations.
Lease Terms and Rental Costs
The lease terms and rental costs of the warehouse are important factors to consider. The tenant should negotiate lease terms that are favorable to their business needs. The duration of the lease agreement should be considered, as well as the renewal options. The rental costs should also be considered, as they can have a significant impact on the business’s bottom line. The tenant should choose a warehouse that offers competitive rental rates and favorable lease terms.
Conclusion
The Singapore warehouse rental market is a dynamic and complex sector, with many factors that determine the rental rates. The location, size, layout, amenities, and accessibility to transportation are key factors that influence the rental rates. The demand for warehouse space in the area also plays a significant role in determining the rental rates.
According to the search results, the average cost of warehouses for rent varies depending on these factors. In 2021, Colliers Research expects warehouse rents to rise 1.3% YOY, the highest among all segments, led by ramp-up logistics space. Business Park and Factory rents could rise at a slower rate of 0.5% YOY and 0.7% YOY respectively given ample supply.
For businesses looking to rent a warehouse in Singapore, it is important to do thorough research and consider all the factors involved. It is also advisable to work with a reputable real estate agent who has experience in the industrial property market. With the right approach, businesses can find the ideal warehouse space that meets their needs and budget.
